McLoughlin Says Yes To New Highways Agency
Following approval from Transport Secretary Patrick McLoughlin today, the Highways Agency will undergo a massive turnaround into a government owned company in just less than a year.
An extensive consultation carried out on the government proposals has come to completion and was green lighted by the transport secretary.The results have been published today alongside the government response, click here to read it.
It is now up to the Department for Transport to introduce new legislation to make such changes possible; they aim to get the company operational by April 2015.
Reform comes after the Government pledged £24billion to transform England’s strategic road network between 2010 and 2021. New investment requires a new streamlined and efficient model for the Highways Agency, one that is expected to save the taxpayer £2.6billion over the next ten years.
Patrick McLoughlin said: “Our road network is an incredibly important national asset, but it has been neglected. This government has committed to the biggest ever investment in our roads but it is vital we have the right foundations in place to make sure this huge amount of money is spent in the most efficient way.
“The reformed Highways Agency will be more transparent and more accountable, driving down costs as it increases efficiency. This means taxpayers get a better deal and road users get a network that is fit for the future economic demands of this country, helping to create more jobs and support business growth.”
With stable and sizable funding making the foundations for the new Highways Agency, no longer will there be the uncertain ‘stop-start’ with projects experienced previously. Instead, the company and suppliers will have financial confidence to recruit skilled workers on far longer term contracts than ever before, saving taxpayers money all the while.
Two new government bodies will cement the trust and integrity of the new Highways Agency. Founded on two expert transport bodies - Passenger Focus and the Office of Rail Regulation- one will listen and act on the interest of motorists, and one will oversee costs and performance of every day projects.
Alasdair Reisner, chief executive of the Civil Engineering Contactors Association, added: “In the past, the roads sector has suffered from boom-and-bust conditions that are hugely damaging to the smooth delivery of projects. These reforms will not only make the Highways Agency more efficient, but will also mean greater funding certainty for the construction sector.
“Long-term stability and certainty of investment will give our members and the Highways Agency good visibility in planning their work, whilst providing the supply chain with greater confidence in developing its workforce to meet future demands.”
The Department for Transport will be brewing up a new plan for investment and performance requirements over the coming months, titled: ‘Roads Investment Strategy’. They have already laid down six feasibility studies to identify and eliminate some of the most infamous long standing hotspots on the road network. The Highways Agency has recently produced similar reports.
The six traffic black spots are:
- · A303/A30/A358 corridor to the south west
- · A1 north of Newcastle
- · A1 Newcastle-Gateshead Western Bypass
- · Trans-Pennine routes between Manchester and Sheffield
- · A27 corridor on the south coast
- · A47 corridor between Norfolk and the Midlands
Patrick McLoughlin has now fired the starting gun; the DFT will now kick into overdrive, making decisions on planning powers, new sanctions, board members and appointments for the company and much more.
Check back with HighwaysIndustry.Com regularly for all the latest on these developments.